No disallowance of interest U/s. 14A if no borrowed funds were utilized for investments

Essel Mining & Industries Ltd. Vs DCIT (ITAT Kolkata) From the perusal of the balance sheet of the assessee it was found that assessee was having sufficient own funds at its disposal for the purpose of making investments and accordingly it could be held that no borrowed funds were utilized for making investments. Hence, there could not be any disallowance of interest under second limb of rule 8D(2) of the rules read with section 14A of Income Tax Act, 1961. FULL TEXT OF THE ITAT JUDGMENT 1. This  appeal  was  earlier  disposed  off  by  this  tribunal  in  ITA  No. 786  & 2...